• Wed. May 18th, 2022

CIP has raised €375 million for a bioenergy fund

ByKarol Donimirski

May 6, 2022

CIP’s (Copenhagen Infrastructure Partners) CI Advanced Bioenergy Fund I, a vehicle that focuses on sophisticated biogas and biofuels production facilities in North America and Europe, has attained a €375 million first close. Industriens Pension and PensionDanmark in Denmark, Fjarde AP-fonden and Andra AP-fonden in Sweden, Vestas, and CIP in the United Kingdom have all contributed to the capital.

The €1 billion funds invest in asset classes made up of sustainable feedstocks such as agricultural biowaste, waste wood, and home and industrial biowaste. Green gas and green fuels, like renewable natural gas, will be available for purchase from the initiatives it invests in. Prior to the first closing, CIP announced it had been able to secure a portfolio of “development-stage advanced bioenergy assets across Europe.”

“We are really enthusiastic about the creation of our new advanced bioenergy strategy, which taps into an exciting market opportunity driven by significant topics like the circular economy, climate agenda, and energy independence,” said Jakob Barul Poulsen, CIP’s Managing Partner.

“Obtaining €375 million in first close commitments from some of our largest current investors demonstrates investor confidence and our track record,” he added.

“There is a very significant market need for circular solutions and green fuels offered by this investment approach, reinforced by significant legislative drivers both in the European Union and in the US,” Thomas Dalsgaard, Partner in CIP and leader of the advanced bioenergy team, noted.

CIP is particularly positioned to invest in this industry as the worldwide market pioneer in greenfield renewable infrastructure spending and has a staff with extensive experience in feedstock sourcing.”

“Advanced biofuels will have a significant impact on the greening of the transportation industry, as well as enable a faster transition away from Russian natural gas.  CIP has a track record of conveying strong investment returns while also having a positive impact on the environment, and the investment aligns well with PensionDanmark’s strategy of providing attractive returns to members while also having a positive impact on the green transition,” says CEO of PensionDanmark, Torben Möger Pedersen.

“There is no doubt that converting organic waste to green fuel and green gas efficiently has enormous potential. This is the field’s first dedicated fund, and we have tremendous faith in CIP’s highly qualified personnel to identify good and imaginative ideas. At the same time, the investment complements our strategic focus on renewable energy and green energy infrastructure,” says Jan stergaard, Industriens Pension’s Head of Real Assets.

“We’re really happy regarding our investment in CIP’s Advanced Bioenergy Fund because it meets the urgent demand for green fuels and accelerates the development of circular solutions. CIP is our third investment, and we find them to be highly visionary, professional, and experienced,” Helena Olin, who works at Andra AP-fonden as the Head of Real Assets noted (AP2).

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